Ryan Salame Withdraws Plea Deal Challenge Amid Partner’s Legal Troubles
In a surprising turn of events, former FTX Digital Markets co-CEO Ryan Salame has withdrawn his petition to vacate his guilty plea on criminal charges related to the collapsed cryptocurrency exchange. This development comes in the wake of his partner Michelle Bond’s recent indictment on campaign finance violations, adding another layer of complexity to the ongoing FTX saga.
Salame, who was sentenced to 90 months in prison in May 2024 for violations of campaign finance and money-transmitting laws, had initially filed a petition on August 21 to challenge his guilty plea. His legal team alleged that prosecutors had improperly secured the plea by implying they would cease their investigation into Bond, Salame’s longtime partner and the mother of his child.
However, the landscape shifted dramatically when federal prosecutors unsealed an indictment against Bond on August 22. The charges against Bond stem from her unsuccessful 2022 congressional campaign, during which she allegedly received unlawful contributions from Salame and other FTX employees.
In light of these developments, Salame’s legal team filed a notice on August 29 in the United States District Court for the Southern District of New York, withdrawing the petition. The filing stated, “Mr. Salame is withdrawing the Petition, however, to allow the facts to be developed by Ms. Bond, and a ruling to be made, in her case.”
Despite the withdrawal, Judge Lewis Kaplan has ordered a hearing on the original petition to proceed as scheduled on September 12. The judge has made Salame’s attendance at this hearing a condition of his continued release on bail, underscoring the gravity of the situation.
The intertwined legal fates of Salame and Bond highlight the far-reaching implications of the FTX collapse. Bond, a former SEC lawyer and prominent figure in crypto advocacy, now faces four serious charges, each carrying a potential five-year prison sentence if convicted. The allegations suggest a complex web of illegal campaign contributions, with Bond and Salame at the center.
This latest twist in the FTX fallout raises questions about the extent of the cryptocurrency exchange’s influence on political campaigns. Prosecutors have previously mentioned that Sam Bankman-Fried, FTX’s disgraced founder, used Salame and other executives as “straw donors” to channel millions into political contributions.
Salame is currently scheduled to report to prison on October 13, following a delay granted due to medical complications. As the date approaches, the withdrawal of his petition suggests a strategic shift in his legal approach, potentially influenced by the changing circumstances surrounding Bond’s case.
